3 Reasons For The Crypto Rally, According To Fundstrat's Tom Lee

As cryptocurrencies continue to steadily climb back toward all-time highs, Fundstrat’s Tom Lee provided three reasons for the recent rally Thursday on CNBC’s “Closing Bell.”

  • Cryptocurrencies are serving as an inflation hedge that’s a better option than gold, he said.

  • It’s a risk-on asset for investors outside of the United States, Lee said. “In emerging markets when people have excess savings flow, they are more likely to buy crypto than they are to buy [for example] the Taiwan stock market.”

  • Millennial investors prefer to buy crypto and treat it like equities, he said. “So I think you’ve got sort of three sources of money flows that are going to benefit crypto.”

Lee still thinks Bitcoin (CRYPTO: BTC) can exceed $100,000 this year.

BTC Price Action: Bitcoin is up 71.2% year-to-date.

Bitcoin was up 2.72% at $49,591 at time of publication.

Photo: Miloslav Hamřík from Pixabay.

See more from Benzinga

© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Harry Byrne

Harry Byrne

Related post